This is the reason the rich prefer the property business

The property business proved to be a lot of successful people. The interest of rich people to pursue the property business is none other because it has a myriad of advantages. What are they?

1. Added Value

Value added property investment is obtained due to the development of buildings on a vacant lot. Value added will be higher, if the building is in strategic location with good access and facilities, and made with beautiful architecture.

2. Increased Annual Income

From a plot of land developed, an investor can receive the lease. Another advantage is the increase in rental rates, because the nature of the scarcity of land and property will continue to occur as long as the economy in a country continues to grow.

3. Increase of Land Value

Appreciation of land value is another advantage of property investment. The number of people every time continues to grow, while the amount of land can not increase. This is a classic theory that simply explains why land prices continue to climb from time to time.

4. Long Term Investment

Compared to deposits, gold or other investments, the property has a long-lasting character. The property business has a horizon (duration) of an average investment of 3-5 years and rises between 10% to 20% per year.

5. Protection against Inflation

Traditionally, people buy land and buildings to keep these investments from being eroded by inflation.

So investors are sure to buy property, the value of investment will not go down like the value of the currency eroded inflation. Even because of the nature of its scarcity, the value of that investment continues to increase over time.

6. Good Collateral

Unlike financial investments, property is the most solid collateral or guarantee. Even in some countries, banks do not hesitate to lend funds up to 80% of the value of collateral.

7. Pride of Ownership

Compared to other types of investment, the sense of ownership of property is generally higher. So ancient, landlords were associated as rich people. This is because the property can also generate income from the lease.

Right Steps Buy Empty Land

Buying lots or vacant land is usually done with the purpose of constructing buildings with different concepts. Designing the construction of buildings from scratch, for some people is considered more satisfactory.

The design of a private home is not only about taste and aesthetics, but also tailored to the needs and everyday activities.

Without a building standing on it, the lot is usually offered at a somewhat sloping price. There are several factors that affect it. For example, road access, environmental conditions, or land history itself.

Noteworthy, do not let the price tag tilted caused by the status of the problematic soil. Therefore, unclear land transactions are particularly vulnerable to cases of ownership disputes.

So how to buy vacant land safely and according to the correct procedure?

Checking the ground conditions

Before buying land, check directly to the location to find out the neighborhood lot. Is there adequate road access? What is the condition of the territorial boundaries of these lots?

Know also the type of soil. Because if you want to live, the type of soil will affect the quality of the water it produces.

Avoid buying land near rivers, factories, high-pressure electrical lines to keep the risk coming in the future.

For investment purposes and the prospect of rising property prices, you also must be keen to see the development of the surrounding environment. Are there complete facilities such as schools, health services, shopping and transportation access nearby?

Knowing the land allotment

Before buying a plot of land, you must know the status of the land and its current designation. For example is there any urban planning plan for the region.

You can check the use of land reflected by the Outbreak (Floor Coefficient of Building) and KDB (Basic Coefficient of Building) at the location through local officials.

There are some people who originally buy land without knowing the land allotment. As a result after purchased just know that the land is a green land that should not be used to build the building.

Knowing the latest projects such as public facilities or infrastructure that will be built by the government around the lot area can also be an added value of your investment.

Know the status of the land

Make sure the land to be purchased is not in the case of a dispute, such as confiscated land or inheritance land that has not been split his property.

Legality of land ownership must be verified by an official certificate listed on behalf of the owner. You can ask local notary’s help to check the legality of the land.

In addition, you also need to check the condition of the land as wide and its location, whether it is in accordance with the letter shown (in this case the certificate).

Perform the procedure correctly

Finally it should be known that in the purchase of land, strong evidence is required in support of the sale and purchase process. The process of buying and selling is not only evidenced through the receipt of regular purchases. You need to make a legal deed or a legal deed of sale and purchase of his position in the eyes of the law.

After purchasing, we recommend you switch ownership on behalf of you directly. Ask the notary’s information as an intermediary for the clarity of procedures for the processing of land ownership letters in the land office.

5 Things to consider before investing home

Although quite safe, investing in property is not without risk. There are a few things to note that your investment is secure and optimal profit.


Value or price of a plot of land and the speed of price increase is not the same in different places. Land in the city is not the same as in the village. Land in the city center, though in a “gang bumper”, is not the same as the land in the suburbs.

Land in an industrial area are also not the same as the area of ​​housing, and so forth. land prices rose fastest course is in the central business districts as much demand so it is relatively easy to be traded or illiquid. Because it is more expensive.


Do not buy the land still unclear status or pledged to another party (eg a bank). Or the land is still in dispute in a court case because of some cases and others. Instead, the land was not purchased at risk because the risk of conflict in the future is huge.

Land documents

Make sure that the land purchased complete documents. Such as land certificate, Permit building, if there is a copy of the building have the blueprints of the building (blue print). Examine the data on land documents with the physical reality (land area, location, period of validity, etc.).

Assumptions return on investment

Good property investment is yag can provide income to you, either in the form of fixed income (from rents) and the potential price increase (the difference between buying and selling price). Calculate the number of return assumption of investment returns you can get from rising land prices in the area.


Return on investment will be reduced because of the costs, for example the cost of purchasing land, the annual United Nations, renovation or maintenance, electricity, telephone, cleaning, and more. Keep you could squeeze costs as low as possible as mentioned above.

Tricks to Get Home with Best Prices On Exhibition

Exhibits properties for developers – and of course also the bank – an event in which they had the opportunity to market their various products. By contrast, in the eyes of consumers, this is the event to get a hunting dream property.

All that is offered is lucrative, can make even dark eyes. Yes, you must carefully choose than to be sorry later. Therefore, you should prepare yourself before hunting properties in the exhibition.

And according to Ike, the following are their points.

1. Know your own character

Ask questions of yourself. Are you ready to live in a remote location? If the answer is yes then you can choose the housing that is usually located in the suburbs.

Or maybe you are ready to live cheek by jowl in the city center so that your mobility is easier to work? If so, the apartment is suitable for you

2. Understand your capability

Consider your financial capabilities so you can quickly determine the price range of the property you wish to buy.

At least you can enlarge the limit if combining your income with a spouse. Only 1/3 of the amount is the maximum value that will be the mortgage.

If you already know your abilities then you stay focused developer who has come to the prices in that range.

3. The purpose of your life ahead

Think of five to 10 years into the future. How would you give education to your children, how health facilities such as hospitals would be a reference care of your family.

All that you need to think because it will relate to the selection of the location of your property.

If the three points you have to understand the next steps will facilitate the hunt for your dream property.

So the next step of your stay to art exhibitions, take advantage promo offer and of course also carefully read its terms and conditions. Remember, do not easily lured. Especially developers and banks that are new or lesser-known reputation. For this do not be lazy to find out. Note also who the people behind the new developer. If indeed his reputation reliable, no need to hesitate.

Note 3 This Before Investing Apartment

Apartments in addition can be used as a residence, can also be used to invest. The apartment belongs to the type of active property investment, because apartment owners earn every month or every year from the apartment tenant.

Advantages invest the apartment was not affected by the exchange rate against the dollar is increasingly diminished as was the case in other types of investments. This is because living in an apartment has become part of the urban lifestyle especially in big cities such as Jakarta, making the demand for vertical housing still hunted.

Large market opportunity is widely used by investors to invest some of his money into the apartment. However, before deciding to invest in apartments there are several things to consider, given this type of investment to spend not less.

1. Location

The location is still the most important thing when deciding to invest in property, such as apartments. Located in a strategic location, access to the apartment and smoothly when other public areas will add value to the investment of your apartment.

Select a location premium, which is adjacent to the educational institutions and the business center. If your apartment offers various facilities in it, get ready for your occupancy much sought after.

2. Buy On When Pre-sales

When looking to invest in the form of apartments, it is necessary to know also when a good time to buy an apartment. Buy an apartment in pre-sales or pre-sales because the price can be much cheaper than when launching the marketing period, because at this time the apartment is still a concept, you can take this opportunity.

Typically the developer pre-sales of apartments they will build more than one year before the marketing period. When the marketing period arrives, investors will benefit from about 30 percent before the whole building awake.

Potential gain on sale of apartments before the whole building awakened could reach 50 percent, while the apartments are resold within 2-3 years after the entire building a whole will benefit up to 80 percent. Remember! This only applies to the apartment with a strategic location and has easy access.

3. Performance Developers

Do not immediately tempted to buy an apartment in large numbers if the location is right. It is no less important to note is the performance of the developer. Do I see the connection that has been built by the developer, if performance and reputation well, in the future you will easily market your apartment unit smoothly.

Tips Bid Price Home

Those who want to buy a home make sure you get the appropriate price, not to even get home at a great price, but lack of facilities. There are tricks of its own that you can apply in order to get the price of the home you deserve.

buying home

  • Note the condition of the building that will house you buy. Examine in detail whether it takes a lot of renovation to the building.
  • Find out how long the house is offered for sale. From here you can see the picture of the response of other potential buyers. If the house has been offered for a long time, there is the possibility that the owner had wanted to remove the house immediately and you can take advantage of this opportunity.
  • Find information about the prices offered by the house and compare it to the price of a few houses around, whether the same approach or not. Surely you should compare with the similar type, and by knowing the average price of homes in the area, then you can easily determine the offer price.
  • Discover the reason why the house was sold so that you can determine the amount of the initial offering. Is the house was sold because the owner or just an urgent need to benefit from investment property that he owns.

After getting this information you will get an overview of the standard price and other supporting information for the home you want to buy. Armed with this information, do the bidding price to the owner. Negotiate a reasonable price or close to market price, and to reach agreement you are required to jelly and have the ability to negotiate